Mr. Nelson Baker reports

MINERAL MOUNTAIN ANNOUNCES FIRST HIGH GRADE DRILL RESULTS FROM THE BISMARCK MINE, HOLY TERROR PROJECT, SOUTH DAKOTA, USA

Mineral Mountain Resources Ltd. and its joint venture partner the Holy Terror Mining Company have released initial drilling results from the continuing phase I exploratory and confirmation diamond drilling program at the Bismarck mine at the Holy Terror project (HTP) located 55 kilometres southwest of the formerly producing Homestake mine in South Dakota.

Highlights from the first six drill holes at the Bismarck mine include 11.40 grams per tonne (g/t) (0.33 ounce per ton) gold (Au) over eight metres including 17.07 g/t (0.50 ounce per ton) Au over five metres, 10.02 g/t Au (0.29 ounce per ton) Au over 3.90 metres, 5.54 g/t Au (0.16 ounce per ton) Au over 6.92 metres, 4.02 g/t (0.12 ounce per ton) Au over 10.02 metres, 4.95 g/t (0.14 ounce per ton) Au over 10.59 metres including 7.14 g/t (0.21 ounce per ton) Au over 4.82 metres. Length-weighted gold composites for all drill hole assays received to date are outlined in the associated table.

Discussion of initial drill results

The phase I diamond drilling program (approximately 3,000 metres budgeted) is designed to not only confirm previous operators historic drill results but also to determine the potential for additional high-grade gold-bearing horizons beyond the limits of the known mining. Eleven drill holes totalling 1,872 metres were drilled from two set-ups in the Bismarck mine area. Gold assays for the first six drill holes on set-up 1 (HT-12-001 through HT-12-006 inclusive) have been received and are presented in this release. Results for the remaining five Bismarck drill holes are pending.

Historic drilling by both Homestake Mining Company (1983 to 1988) and Energy Fuels Corp. (1993 to 1994) in the Bismarck area was directed at testing the near-surface extension (less than 200 metres in vertical depth) of the main Bismarck horizon. However, sampling of the core by both companies was sporadic and incomplete. By adopting the in-house policy of complete sampling of all phase I drill core, Mineral Mountain was successful in confirming and expanding its predecessor's results as well as identifying new gold mineralization including 4.02 g/t (0.12 ounce per ton) Au over 10.02 metres, including 6.53 g/t (0.19 ounce per ton) Au over 1.82 metres. The newly identified, near-surface mineralization occurs in the hangingwall approximately 60 metres northeast of the main Bismarck gold zone and is open in all directions. In light of this new information, the larger structural corridor that is host to the gold zones at Bismarck is now in excess of 80 metres wide. The true size of this corridor has yet to be determined due to the paucity of historic drilling and sampling. Additional drill testing of this new target area is being planned for phase II.

Bismarck mine overview

The Bismarck mine is but one of 12 turn-of-the-century past-producing gold mines within the extensive Holy Terror project landholdings. Based upon historic records, the mine operated intermittently from 1904 to 1907 and ceased production due to lack of water for the stamp mill. Mine development includes a 425-foot shaft, open cut and four levels of which only two shrinkage stopes on the 100-foot level were mined. Gold mineralization at the Bismarck occurs in well-defined brittle-ductile shear zones, often close to bodies of intrusive gabbro, and, where major fault systems have intersected schistose pelitic sediments, conglomerates, and, most importantly sulphide-facies iron formation which was a critical host rock for ores at the Homestake mine.

Exploration update

Eleven diamond drill holes have been completed at the Bismarck mine area from two drill set-ups totalling 1,872 metres. The drill has been relocated to the eastern portion of the property and is currently testing the Bullion, Keystone and Holy Terror mines, which occur on three regional, parallel gold structures within a 400-metre-wide corridor. The company currently has permits in place from the South Dakota Department of Environment and Natural Resources (DENR) to drill 400 diamond drill holes.

Commentary

Nelson W. Baker, president and chief executive officer of Mineral Mountain Resources, commented: "These first drill results from the phase I program at the Bismarck mine are truly exciting. Not only did the drilling demonstrate robust grades and widths potentially amenable to underground mining methods, but more importantly the exceptional exploration potential of the entire gold system in the Keystone area which we have just begun to explore. The Holy Terror project, with its numerous former high-grade gold producers, discontinuous exploration history, incredible infrastructure and scarcity of historical drilling is one of the most unique exploration opportunities that I have witnessed in my 43-year career. This is only the first of four past-producing mines that we intend to assess in this preliminary round of drilling."

Length-weighted drill hole gold composites for the Bismarck mine area (drill set-up 1) are shown in the associated table. Gold assay top cutting has not been applied. Drill hole intersections do not represent true widths and there is insufficient drilling on these zones to determine the true width of the drill hole intercepts at this time.

                             
                        DRILL RESULTS                                             

                                   Core                   Vertical
                 From       To   length       Au      Au     depth
Drill hole        (m)      (m)      (m)    (g/t)  (oz/t)       (m)

HT-12-001       18.41    25.33     6.92     5.54    0.16        18
Including       22.36    25.33     2.97     7.02    0.20        18
HT-12-002       15.75    26.34    10.59     4.95    0.14        15
Including       17.07    21.89     4.82     7.14    0.21        15
HT-12-003       26.58    30.48     3.90    10.02    0.29        23
HT-12-003       35.59    36.76     1.17     4.31    0.13        30
HT-12-003       69.37    70.35     0.98     5.15    0.15        57
HT-12-003       84.08    85.93     1.85    10.29    0.30        70
HT-12-003      102.60   112.62    10.02     4.02    0.12        88
Including      104.60   105.66     1.06     7.46    0.22        86
And            107.70   108.73     1.03     8.24    0.24        89
And            110.80   112.62     1.82     6.53    0.19        92
HT-12-003      123.31   124.28     0.97     6.10    0.18       101
HT-12-003      143.33   144.32     0.99     5.02    0.15       118
HT-12-004      112.22   113.05     0.83     9.71    0.28        77
HT-12-005       13.52    21.20     7.68     4.35    0.13        14
Including       13.52    17.00     3.48     6.97    0.20        12
HT-12-005       26.80    28.19     1.39     4.93    0.14        22
HT-12-006        7.22    15.22     8.00    11.40    0.33         7
Including        7.22    12.22     5.00    17.07    0.50         7
Including        8.22    11.22     3.00    24.00    0.70         7

Qualified persons

The technical information in this news release has been prepared in accordance with Canadian regulatory requirements set out in National Instrument 43-101 and reviewed and approved by Nelson W. Baker, PEng, president and chief executive officer of Mineral Mountain Resources and a qualified person. The exploration activities at the Holy Terror project are carried out under the supervision of N. Wally Rayner, PGeo, vice-president, exploration, and implemented by project manager Kevin Leonard, PGeo, both being qualified persons for this project.

Quality control

Drill core samples are transported, handled and stored with chain-of-custody procedures. Core is sawn or split in representative halves with one-half submitted to the laboratory for analysis and the second half saved for archival purposes. Typical core samples are 0.5 to 1.5 metres in length. Gold (Au) assays are by 30-gram fire assay with atomic absorption finish with a lower limit of 0.005 part per million (ppm) and upper limit of 10 ppm. The 48-element geochemical package, including silver (Ag), uses a four-acid digestion followed by induced coupled plasma with atomic emission spectrometry (ICP-AES) and mass spectrometry (ICP-MS), when gold values are greater than 10 ppm then the sample is reanalyzed using fire assay with a gravimetric finish. All overlimits are also analyzed using the screened metallic method.

The laboratory for the Holy Terror project is ALS located in Reno, Nev. ALS is a certified laboratory that used standard reference material and duplicate sampling to ensure quality control. Mineral Mountain routinely sends a set of four blind standards as well as one blank sample with every shipment of core. The results of the analysis of the standard material are continuously reviewed to ensure quality assurance.

We seek Safe Harbor.